Rice profits up but royalties down ?

Can anyone explain how Rice Energy profits seem to keep going up, while all the other companies are losing money, yet royalty payments are going down?  If the market is so depressed how are they doing so much better than the rest?  Thanks for any thoughts.

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Permalink Reply by DONNA M SELLERS on November 18, 2015 at 12:13am

my well has been curtailed as put in a letter from Rice. I didn't receive a check this month.

Permalink Reply by Nancy on November 18, 2015 at 2:50am
Donna,
If you could share the details of the letter I would appreciate it. Is it a new well? Is it because of the low gas prices? We are in Western Pa .
Permalink Reply by DONNA M SELLERS on November 20, 2015 at 1:24am

It just said well was being curtailed till prices rebound. Its the Michael

McNicholas well. CHK drilled it along with Statoil. Then sold it to Rice its been in production for a little over two years ----the low checks during change over and the paper work on acres held in title dispute that Chk finally just turned over a sh-t load of money over to Rice( was told this by someone on phone at Rice) with no good reasons why all this money was held. Then Rice sent lawyers to Oklahoma CHK offices and mean while Rice changed their accounting firm and another waiting for the new firm to figure out things????? I did get a small check for the year held up in title but as far as I know none of my cousins in this leased well has received a dime for this. I did because I did a lot of emails and calls right from the first when Rice took over. I still have no idea if I was paid correctly or just paid off to get me to stop calling. No check this month no production report!!!

0ym9x5ag7ury2Permalink Reply by 0ym9x5ag7ury2 on November 19, 2015 at 3:09pm

I recently saw a Rice Lease that was given to a friend to sign, it was so bad that I posted a summary of it on this website.

What does this mean? When leasing shifted in favor of the Oil and Gas companies they modified their leases to take advantage of the landowners which shows their true colors, which has always been to take advantage of landowners.

Trust me it was bad, and it had a paragraph that said the landowners were not allowed to disclose the terms of the deal if they signed it.

So you signed my bad contract and I used a paragraph to keep you from telling other landowners how sorry a company I was running, knowing that you would eventually figure out just how bad the contract was after the production started back up in 2017. 

I told my friend all the paragraphs that had shifted to being Oil & Gas company friendly and all the reasons he shouldn't sign.

Since this is a family run company, it made me wonder what the honest family members of that company felt about their relatives treating the landowners in such an unethical way.

I do know that rich people have greed problems that they have to deal with every day. I figure this keeps them from sleeping naturally at night.

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